Which of the following best describes the simple spending ...

[jCorn1234]

Which of the following best describes the simple spending multiplier?
 a. It shows the magnified change in planned aggregate spending that arises from a change in output.
 b. It shows the magnified change in equilibrium output demanded that arises from a change in income.
 c. It shows the magnified change in planned aggregate spending that arises from a change in equilibrium output.
  d. It shows the magnified change in equilibrium output demanded that arises from a given initial change in planned aggregate spending.
  e. It shows the change in planned aggregate spending that arises from a change in real output.

Question 2

Requiring cars in Los Angeles to reduce pollution by the same amount as cars in Topeka is inefficient.
 a. True
  b. False
  Indicate whether the statement is true or false

[amit]

Answer to Question 1

d

Answer to Question 2

True

[jCorn1234]

Thanks for the timely response, appreciate it

[irishcancer18]

YES! Correct, THANKS for helping me on my review